Havering’s Impending Bankruptcy: The Road to Disaster (part two)

Margaret Thatcher’s prime ministership ended after introducing the Poll Tax for council financing. Every property was charged the same amount. A one-bedroom flat was taxed like a mansion. It provoked riots and she lost support in her party.

Panic-stricken, the Conservative government introduced Council Tax. Eight bands, loosely based on 1991¹ evaluations, remain to this day. These valuation bands are supposed to reflect house prices across the country.

The intention was that bands would be reviewed every five years. This would have captured changes in real time. Political cowardice prevented revaluations happening. Winners are happy and losers scream blue murder with obvious electoral consequences. London’s 73 MPs absolutely opposed re-establishing the link between property values and council tax. London’s house prices had rocketed and they didn’t want council tax to double as a consequence.

In Havering, Band D house prices in Rainham have increased eight times since 1991.²The earliest statement of council tax bands are for 1993-4 when band D was set at £535.³ For 2023-4, Band D is £2,088 – four times more.

Havering’s council tax would double if it was a property tax.

Havering’s road to disaster began in 1991. A panic-stricken Conservative government tried to rescue themselves after Margaret Thatcher. They made disastrous decisions, which have lasted 32 years. Havering’s 2023-4 budget raised £149m from council tax.⁴ This should have been a minimum of £300 million. And more if upward revaluations are included.

Havering is a victim of national politics.

Notes

1 How domestic properties are assessed for Council Tax bands – GOV.UK (www.gov.uk)

2 House Prices in Guysfield Drive, Rainham, Havering, London, RM13 (rightmove.co.uk)

3 Previous years’ bands | Council Tax bands and bills | The London Borough Of Havering

4 Decision – The 23/24 Council Budget setting report and 2023-2027 Medium Term Financial Strategy | The London Borough Of Havering

Sir James Oglethorpe Primary School, Upminster

This school is named after a fascinating man who had many careers. He was an MP for 32 years,¹ a soldier and an important social reformer. He never lost his desire to make the world a better place. His career as a reformer began in 1729.

His first opportunity came when he became the chair of the parliamentary Goals Committee, 1729. He believed that criminals living in a different environment would thrive and become law-abiding. This was especially true of those imprisoned for debt.² Debtors were only released when they paid their debt. Consequently, they were imprisoned for very long periods.

Oglethorpe was Georgia’s first governor from 1732. He stamped his authority on it as a social reformer. He banned slavery in 1735 because it’s brutal and amoral. He also banned alcohol, which he felt ruined many lives.

Oglethorpe’s beliefs about slavery were seen as bizarre. Slavery was normal in parts of the British empire. Oglethorpe opposed slavery 125 years before Abraham Lincoln. Slavery was introduced in Georgia in 1751 long after he’d returned to England and couldn’t do anything about it.³

He’s inspirational and would be proud to have schools named after him.^4,5 His final years were spent in Cranham where he died aged 88 in 1785.

Notes

1 James Oglethorpe – Wikipedia This provides a good quick summary of his life

2 Marshalsea – Wikipedia The most famous victim of this was Charles Dickens whose father was imprisoned as a debtor. Charles Dickens – Wikipedia

3 History of slavery in Georgia – Wikipedia Astonishingly this was under pressure from a clergyman, George Whitefield, a founder of Methodism George Whitefield – Wikipedia

4 History – James Oglethorpe Primary

5 See the Oglethorpe group of schools in Georgia, USA Oglethorpe County School District – Wikipedia And there is a university Oglethorpe University – Profile, Rankings and Data | US News Best Colleges

Havering’s Impending Bankruptcy: The Road to Disaster (part one)

Havering’s Strategy Director Kathy Freeman stated: “We are very close to issuing a section 114, [bankruptcy] even six months away from this happening. Our average resources cannot meet the financial requirements.¹

In 2010 Conservative chancellor, George Osborne,² (see addendum) began his attack on local government. Without profiling the financial needs of local government, he capped Council Tax increases to zero%.

Instantly, he demonstrated he didn’t understand two fundamental fiscal principles;

The corrosive impact of inflation
The corrosive impact of the compounding of inflation.

Osborne’s decision was based on ‘something for nothing’.⁴ He talked of ‘waste’ and ‘inefficiencies’ to confuse the electorate. Simultaneously, additional duties and responsibilities were imposed on councils.

Since 2010, British inflation has been 46.88%.⁵Havering’s stand still council tax should have increased at the same pace. In 2010-11 a band D was £1,505. This year, 2023-4, it’s £2,088.13. Inflation linked council tax would have brought the figure to £2,210.56. Havering is minus £122.43 per band D house. There are 107,798 houses in Havering and band D is the average. Osborne’s misunderstanding about inflation has cost Havering approximately £14 million annually.

But the Conservative chancellors weren’t finished with their attack on local government. They reduced government funding. In 2010, Havering received £70 million. In 2023-4, it was £2.9 million. A real reduction of £100 million per year.

The cost of Conservative policies, 2010-23, for Havering is £119 million per year. This is why Havering will probably go bankrupt.

Addendum: Conservative chancellors 2010-23 (their university degree in brackets)

George Osborne (History)
Philip Hammond (Philosophy, politics and economics)
Sajid Javid (Economics and politics)
Rishi Sunak (Philosophy, politics and economics)
Nadhim Zahawi (Chemical engineering)
Kwasi Kwartang (Classics and history)
Jeremy Hunt (Philosophy, politics and economics)

Notes

1 Havering Council balancing on the brink of bankruptcy-A ‘114’ could be issued within months. – The Havering Daily

2 Osborne was educated at private schools: George Osborne – Wikipedia

3 Council funding for taxi trips for Havering school children with special needs to cease (taxi-point.co.uk) “….reimbursement for fuel or a trip via ride-hailing service Uber would cost approximately £30 per day….disabled children will experience changes, ‘appropriate measures’ will be taken to ensure their needs are appropriately addressed.” The human cost of bankruptcy. The weakest and most vulnerable suffer first

4 The 2016 Brexit referendum ‘battle-bus’ is identical with the false claim that leaving the EU would ‘free up’ £350m a week for the NHS.

5 Inflation calculator | Bank of England

Havering’s Places Overview and Scrutiny committee, 14th September 2023

Two very contrasting items dominated this meeting. The first was a presentation by an enthusiastic officer who had a good story to tell. Ray Morgon has emphasised good communications with the public and so will be delighted to know that the call centre is putting in a stellar performance with a mere 30 second wait for response.

The perennial problem for councils is the management of voids. Here was a very good report where the housing stock has not been allowed to rot in extended periods of neglect. Mandy Anderson (32 minutes)¹ said that she’d noticed the improvement in housing maintenance in her casework.

The Green Flag Award recognises parks of a high standard. There is a great deal of civic pride involved in having 16 of Havering’s parks acknowledged in this way. The officer said 16 was the limit because of resource constraints. A spokesman for Friends of Raphaels and Lodge Park gave a presentation (51-4 mins). What was said was probably unwelcome. He felt Raphaels Park was unworthy of the honour and they’d nearly written to the Green Flag organisers to say so. For example, the grass had only been cut twice this year in June and September.²

Every councillor who contributed to this meeting spoke well.

Notes

1 Webcast Agenda for Places Overview & Scrutiny Sub Committee on Thursday, 14th September, 2023, 7.00 pm | The London Borough Of Havering All times relate to this webcast

2 David Taylor should find out what the contract for grass-cutting Raphaels park demands and see if this is a management problem or a designed failure.

Absences

Sue Ospreay, Kath Tumilty and Brian Vincent

Contenders for the coveted Damian White ‘Slacker of the Year’ Cup are four Councillors at 50% Philippa Crowder, Sarah Edwards, Robbie Misir and Christine Vickery. Current leaders for the cup are Councillors Robert Benham and Damian White at 43% attendance over six months.

Source Councillors attendance summary, 6 April 2023 – 29 September 2023 | The London Borough Of Havering

Havering’s Council Tax: The Government’s Exemption Policies

Ray Morgon uses apocalyptic language when discussing government funding. In 2010, before the Conservatives’ Age of Austerity, Havering received £70m. This was reduced to £2.9m in 2023. A £100m per year reduction when corrected for inflation.¹Religious buildings are zero rated for business rates and charity shops pay only 20%. Havering’s finances are damaged by these exemptions.

Uncosted exemptions reflect prejudices of by-gone eras.² The government imposes exemptions for religious buildings without compensation for the council.³ Voters haven’t a say as to whether they want to subsidise religions.⁴

“….belief in ‘a god’ in the UK is low. Only a quarter of Britons (27%) say they actually believe in ‘a god’. A further one in six (16%) believe in the existence of ‘a higher spiritual power’, but not ‘a god’.”⁵

As 73% of people aren’t religious, why do tax exemptions exist? It isn’t obvious why churches should get financial support from Havering.

Charities are different. Local charities command general support. St Francis Hospice is a well-loved charity in Havering. Their shops provide funds beyond normal charitable giving. Their accounts don’t acknowledge the value of the 80% business rate reduction. However, their reserves of £19.44m are helped by those reductions.⁶

Havering has had massive reductions in annual funding but can’t maximise its tax base. Government decisions about religion and charities are paid for by Havering’s taxpayers.

Notes

1 Inflation calculator | Bank of England

2 There are 110 Christian buildings in Havering which don’t pay business rates. Havering’s flagship church is St Edward’s, Romford. Its financial statement reveals the building is worth £16.24m and they have reserves of £318,000 de5291_4413260d7c764342a5681c27d3be80a8.pdf (stedwardsromford.com)

3 There are 7 charity shops on Hornchurch High Street charity shops in hornchurch – Search (bing.com) They don’t pay VAT and so have further commercial advantages. See VAT for charities: Overview – GOV.UK (www.gov.uk)

4 See Havering Council and Religious Diversity – Politics in Havering

5 How religious are British people? | YouGov

6 388190336.pdf (sfh.org.uk) See also do charities pay business rates uk – Search (bing.com)

Havering Council Meeting, 6th September 2023

On a hot night eleven councillors, 20%, were absent (see Addendum).

What did they miss? Not a lot. There were no motions, which shows a tragic lack of ambition by the Conservatives. David Taylor, a Conservative, wrote in the Havering Daily,¹ that spending £300,000 on the ULEZ High Court case was a good idea. This might have drawn a crowd especially as it involved slashing councillor allowances.

Question Time was the only event.

Martin Goode (54 minutes)² probed the Leader about agency staff. His answer possibly gave a hostage to fortune. Christine Smith (1:13) asked an important question about measles. Gillian Ford said Havering was better than London but worse than England, which sounds pretty bad. David Taylor (49) promoted *Faith* groups who provide services to the community. He asked for a meeting. Perhaps the Leader will chat with other volunteer groups who patch up LBH’s social services, at no cost to the borough.

Dilip Patel (1:07) stood in for Jason Frost and posed a killer supplementary question to Oscar Ford. Cabinet members read prepared answers but do they understand what they’re reading? The critical question about how many child-carers there are was fundamental to Ford’s answer. He didn’t know. He hadn’t done his homework.

I take a jaundiced view of eulogies but Stephanie Nunn was a warrior. She overcame her distress (5 minutes 45 seconds) announcing the death of Barbara Matthews. She carried on orchestrating speeches – not all of which were of the highest quality.

Addendum: Absent councillors

Joshua Chapman, John Crowder, Philippa Crowder, Sarah Edwards, Brian Eagling Jason Frost, David Godwin, Robby Misir, Sue Ospreay, Philip Rock and Natasha Summers

Notes

1 ‘Our council has failed to prepare for ULEZ’-Havering’s missed chance to support residents. – The Havering Daily

2 Annotator Player (sonicfoundry.com) All times are in brackets and refer to this webcast

Extraordinary Council Meeting, 30th August 2023

Keith Prince is a Havering and GLA councillor. He chairs the GLA Transport committee, holding Mayor Khan to account. He’s in a powerful and unique position but what does Havering gain?

Havering is the GLA’s Ugly Duckling. We’ve been left out of SuperLoop, didn’t get a station at Beam Park, don’t have good north-south bus routes, electronic bus signs are rarely to seen, and Gallows Corner is a national joke. Keith might be lobbying but he annoys the Mayor. This meeting could have been Keith’s showcase. It was a disaster. His speech (1:33)¹ was ill-prepared, badly delivered and showed why Havering gets a raw deal from the GLA.

……………………………………………………………………………………………………………………………………….

Virtually every councillor thinks Havering’s air is of unimprovable. Gerry O’Sullivan (1:06) blamed air pollution deaths, in part, on the 1953 Great Smog. Mandy Anderson ((1:09) quoted Boris Johnson bragging ULEZ would make London, “The greatest city on earth.” Dilip Patel (34) got technical with a critique of the Imperial College report. He made important points about tyres and brakes generating air pollution. Reg Whitney (52) said £12.50 was a permit to pollute. He said pollution could stop by 2028 if non-compliant cars were banned altogether, which is an excellent point.

Ray Best’s (1:18) family have 10 non-compliant vehicles.² Other councillors had personal horror stories but he won. The debate featured hand-wringing about the plight of poor people. Nisiha Patel (53) said her daughter, a doctor, would suffer. Perhaps a generous gift at her next birthday will soften the ULEZ blow.

Frankie Walker (1:25) said London was unfairly treated in comparison to Manchester and Bristol. Trevor McKeevor (1:30)³ quoted a Grant Shapps letter virtually ordering the Mayor to extend ULEZ.

It turns out that pay-per-mile will probably come in after 2030 to replace the money lost from people converting to electric vehicles which don’t pay Fuel Duty.

Stephanie Nunn, Havering’s Mayor, kept the debate moving by being ‘Firm but Fair’.

Addendum: Absent councillors

Robert Benham, Joshua Chapman, Osman Dervish, Jason Frost, Jane Keane, Robbie Misir, Matt Stanton, Christine Vickery, Damian White and Chris Wilkins. 10 out of 55

Notes

1 (Public Pack)Agenda Document for Council, 30/08/2023 19:30 (havering.gov.uk) This is the wording of the single motion for debate. The debate webcast is here Annotator Player (sonicfoundry.com) Times indicate when a speaker began their speech. Prince = 1 hour 33 into the debate.

2 Perhaps he was inspired by the famous Four Yorkshire sketch? Four Yorkshiremen- Monty Python – YouTube

3 He also put a tetchy Chief Executive right (1:21) about councillors waiting to speak and so everyone got their turn even though the meeting was extended twice.

‘Living in Havering’ Magazine, 23rd August 2023

In 2018 Damian White made the taxpayer funded Living in Havering a Conservative Party newsletter. The latest HRA edited magazine is going the same way.¹

Ray Morgon, or is it Gillian Ford?² has written an article on the introduction of ULEZ in Havering. It’s a biased political statement.

They begin their rant, “The expansion of the zone has been incredibly unpopular in outer-London boroughs.” Morgon-Ford depend on the ravings of Twitter and Conservative propaganda for their opinions. Redbridge Council, an outer-London borough, in their version of Living In Havering,³ place ULEZ as their 8^th item in a single sentence, “The Ultra Low Emission Zone (ULEZ) will be Londonwide from Tuesday, 29 August 2023.” Redbridge inform residents about matters of direct concern to them, not party-politics at the taxpayers’ expense.

Morgon-Ford keep on digging, “Unfortunately, the scheme is only available to those that live in London, so people and businesses outside of the borough that need to drive in for work, are not eligible for any support.”

They want Londoners to pay for the upgrading of Brentwood residents’ cars.⁴ HRA want to increase the GLA precept to subsidise Conservative county councils. If they think ULEZ is unpopular, they want to try that one.

HRA’s Living In Havering is taxpayer funded and shouldn’t be a party-political propaganda sheet. If they want to know what a proper Council magazine looks they should read Redbridge Update.

Notes

1 ULEZ rolls out to Havering, knife arrests in Romford, fly-tipper caught and fined (govdelivery.com)

2 Gillian Ford has emerged as the PR face of the administration with numerous TV and media appearances.

3 Latest news and updates from Redbridge Council – 12hedonic@gmail.com – Gmail (google.com) The lead item is GCSE results

4 Brentwood council tax bands & costs 2023/24 They pay £120 p.a. less than Havering for a band D property

Andrew Rosindell: Romford’s Absentee MP

Background

Andrew was arrested in May, 2022 for various alleged offences.¹ His police bail has been extended five times from then until August, 2023.

When bailed he made a ‘gentleman’s agreement’ with the Conservative Chief Whip to distance himself from parliament. Neither expected police bail to last 15 months.

Politics

Non-attendance from parliament for 15 months is unique. It begs the question whether Romford is represented as it should be. A pragmatic solution, to what was hoped to be a temporary embarrassment, has become a nightmare. Andrew’s absence means the Chief Whip and he have denied Romford their democratic rights.
Worse, Romford Conservative party members were deceived during Andrew’s reselection process. They didn’t know he was persona non grata ²in the parliamentary Conservative party. As a long-standing MP with an excellent track record he could have been reselected anyway.

Police Bail

Is 15 months of police bail an abuse of the system?

“The officers making the decision to extend police bail must be satisfied that the investigation by police has been conducted diligently and expeditiously, and that keeping the person on bail whilst the investigation is conducted is both necessary and proportionate.”³ (my emphasis)

Five extensions are shocking.

Conclusion

Andrew deserves better than this and so do the people of Romford.

Notes

1 Tory MP Andrew Rosindell has not attended parliament for more than a year since arrest (thetimes.co.uk)

2 persona non grata meaning – Search (bing.com)

3 How long can I be kept on police bail? – TV Edwards Solicitors see also The Perplexing Reality of Extended Police Bail | London’s Defence Lawyers (stuartmillersolicitors.co.uk)

Upminster By-election, 10th August 2023

RAs traditionally are possessive about their wards. It is their ward. Everything is important because they live alongside their voters. RAs regard Party politics as an obnoxious distraction in local government. They glory in being ‘amateurs’ unsullied by party bosses dictating policy decisions.

Jacqueline Williams doesn’t list her address in the election notification.¹ So what? Her fellow Upminster councillors are cabinet members with listed addresses despite their high profile. Not listing her address makes her semi-detached about core Resident Association values. Modern RAs are a clique trading on a diluted brand.

The late Linda Hawthorn became a councillor when she was 37 years-old. She served her ward for 33 years as a true RA, receiving a miniscule allowance at the beginning. Allowances were £200 a year in 1990. Jacqueline will receive £10,412 p.a. Needless to relate Linda listed her address, home phone number and wasn’t in it for a pension supplement.

Hornchurch and Upminster Conservative Party

Conservative Central Office have thrown their candidate, Ed Green, out of the party He flaunts his obnoxious views.² Did Hornchurch and Upminster Conservatives ‘discover’ his opinions like everyone else – through reading the Romford Recorder? Do they even care?

Selection committees scrutinise candidates. His proposers, Samuel Green and John Mylod, must know him. So, what sort of political conversations did they have? He’s been ejected from the Conservative party but they’re still members. Why? There’s a question mark over the entire selection panel for the same reason.

Meanwhile everyone has noticed Julia Lopez’s deafening silence.³Conservative Central Office should see if Hornchurch and Upminster constituency party is rotten to the core.

Addendum: The election result

Jacqueline won a stupendous victory massively defeating all other candidates

Notes

1 Notification of candidates Upminster By-Election 2023 Statement of Persons Nominated (havering.gov.uk) The Havering Daily published self-penned descriptions of candidates. This is Jacqueline’s Upminster By-Election Special: Jacqueline Williams – Upminster Resident Association Candidate. – The Havering Daily She’s quite entitled to not list her address but it goes against the RAs DNA.

2 Suspended Conservative Ed Green defends Greta Thunberg post | Romford Recorder See also Hornchurch and Upminster Conservative Association select their candidate for Upminster by election. – The Havering Daily

3 Julia Lopez MP | for Hornchurch & Upminster See also the Conservative website News | Hornchurch and Upminster (hornchurchandupminsterconservatives.com) both accessed 8^th August 2023

4 Local elections | Election results | The London Borough Of Havering